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Meet and tweet the new rich

By Judy Martel · Bankrate.com
Wednesday, November 13, 2013
Posted: 6 am ET

On paper, at least, Twitter co-founder Evan Williams is a billionaire. When the social media site went public last week, Williams' fortunes skyrocketed, along with the net worth of other investors and employees.

Rizvi Traverse Management owns nearly 16 percent of Twitter, with shares valued at $3.82 billion at the end of the first trading day Thursday, according to Bloomberg. Initially priced at $26 a share, Twitter's share price soared 73 percent by the end of the day.

Williams is the largest individual owner, with shares now worth about $2.56 billion. But rank-and-file employees benefited too: Business Insider reports that market research analyst PrivCo says the initial public offering created 1,600 new millionaires, most of them Twitter staff members.

Twitter's other co-founder, Jack Dorsey, will add $1.05 billion, including some options, to his net worth. As a stakeholder in Square Inc., a mobile payments company, he already was a billionaire.

The company sold $1.82 billion of shares in the IPO, according to Bloomberg. The executives can't sell their stock for at least 180 days, but some employees could unload theirs as soon as Feb. 15. But it might be best to consider it as a stock for the long term: Twitter posted a loss of $64.6 million in its latest quarter and, according to Bloomberg's examination of analyst expectations, won't report a profit until 2015.

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